Wall Street sets Budweiser stock price for the next 12 months

Shares of Anheuser-Busch InBev (NYSE: BUD) ended last week down 1.6%, losing some of their gains a day earlier driven by better-than-expected earnings and revenue numbers for the first quarter. 

The St. Louis, Missouri-based brewing company reported earnings per share (EPS) of 65 cents for the quarter that ended in March, topping the consensus estimates of 59 cents. Revenue came in at $14.2 billion, up from $13.2 billion in the year-ago quarter and just above the Wall Street estimates of $14.1 billion. 

Over the past three months, 31 analysts on TradingView have provided predictions for Anheuser’s stock, 16 of which were rating the stock as ‘Strong Buy,’ and 3 analysts rating it as ‘Buy.’ On the other hand, 9 analysts were advising a ‘Hold’ while only 3 believe the stock is a ‘Strong Sell.’

Meanwhile, 8 analysts set a 1-year price target for BUD shares at $69.88, a 7.78% climb from its current price, with a max estimate of $80 and a minimum prediction of $64 per share. 

BUD 12-month price target. Source: TradingView

BUD stock price analysis

In the past month, Anheuser-Busch’s stock has experienced a notable trading range of $66.84 to $63.37. The stock is trading at $64.83 at press time, losing around 3.1% over the past 30 days.

Despite recent losses, the company’s shares remain up 7.6% year-to-date, and more than 12.5% in the past 12 months, with a market cap of $128.1 billion. For comparison, the S&P 500 and the Dow Jones Industrial Average (DJIA) rose 8.16% and 1.62% since the start of the year. 

BUD 1-month price chart. Source: TradingView

Future outlook for BUD

Going forward, Anheuser-Busch reiterated its 2023 forecasts estimating that core profit (EBITDA) would grow in line with its medium-term predictions of 4% to 8%, while revenue is expected to grow ahead of core profits. 

Trevor Stirling, an analyst at Bernstein Autonomous, shared his views regarding the controversy around the company over a social media promotion of Bud Light on April 1 involving the transgender influencer Dylan Mulvaney. Stirling said the events had a meaningful impact on Anheuser’s sales, though he added the market had already priced in the worst-case scenario.

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Source: https://finbold.com/budweiser-stock-price-for-the-next-12-months/